WASHINGTON, Dec 18 (Reuters) - Two directors of Epic
Games who had been appointed by Chinese gaming and social media
firm Tencent Holdings ( TCTZF ) resigned from the board of the
Fortnite video game maker after the U.S. Justice Department's
antitrust division expressed concerns, the department said on
Wednesday.
The Justice Department had been concerned that the two
directors' membership on the boards of both Epic and Tencent ( TCTZF )
violated U.S. law.
Tencent ( TCTZF ) owns a minority interest in Epic Games. It is also
the parent company of a gaming competitor to Epic, Riot Games,
the Justice Department said in a statement.
"Tencent ( TCTZF ) also decided to amend its shareholder agreement
with Epic to relinquish its unilateral right to appoint
directors or observers to the Epic board in the future," the
department said.
It said the two directors' positions on both the Epic and
Tencent ( TCTZF ) boards violated Section 8 of the Clayton Act, which
prohibits directors and officers from serving simultaneously on
the boards of competitors, subject to limited exceptions.
No company or individual has admitted to liability in
connection with this investigation, the Justice Department
added. Its statement did not name the two directors in question.
Epic Games and Tencent ( TCTZF ) had no immediate comment.